Case Law Details
Prakash Chandra Purohit Vs Union of India (Rajasthan High Court, Jodhpur Bench)
During the course of arguments, learned counsel for the respondents submit that at present the only purpose of issuing Summons u/s 70 of CGST Act to the petitioners is to record their statements seeking to extract the role of the petitioners in the affairs of the companies involved in GST evasion. Learned counsel for the respondents would further submit that the apprehension that everyone, who is being called to give statement is being arrested, is not correct.
We also find that number of persons were issued summons under Section 70 of the CGST Act and it is not a case that every person has been arrested. Whether or not the petitioners are involved in the alleged GST evasion would depend upon result of the investigation which is being carried out.
Furthermore, the submission of learned counsel for the petitioners that once Director of the companies involved in the alleged GST evasion is arrested and complaint is filed against him, no further action can be taken against any other person including the petitioners, does not appeal to us.
Another submission that proceeding under Section 70 of the CGST Act could be initiated only after a final assessment is carried out, is also, on prima facie considerations, not borne out from the statutory scheme of the CGST Act.
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